Agency1

Question 1

Agency is a consensual relationship wherein agent

Answer 1

agrees to and / or acts on a principal’s behalf in affecting legal relationships with third parties.

Question 2

The Statute of Frauds may require some agent appointments

Answer 2

to be in writing to be enforceable. [Real estate/Over one year/Sales representative]

Question 3

There may be no express or implied authotity. If the principal’s manifestation or actions lead

Answer 3

an ordinarily purdent person to reasonably believe the agent has authority to commit the general act, the principal may be liable.

Question 4

If the principal held the agent out or “clothed the agent with the trappings of authority” and fails im some way to correct this error,

Answer 4

the principal is estopped from denying liability to a third party.

Question 5

[Sum] The authority of an agent to bind his principal may be

Answer 5

actual or apparent or granted by ratification.

Question 6

[Sum] Equal dignity rule : The grant of express authority to enter into a K must be in writing

Answer 6

if the K is within SOF.

Question 7

[Sum] An agent has apparent authority if 1) the principal directly or indirectly holds out the agent as haveing certain authority; and

Answer 7

2) a third party reasonably relies on the appearance of authority.